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Madhya Pradesh Trade and Investment Facilitation Corporation Limited (MPTRIFAC) AVN Towers,192, Zone -1, M.P Nagar, Bhopal 462011 Tel.: (+91) 755 4270246. Fax: (+91) 755 2559973. E-mail: [email protected] Website: www.investmp.com National Partner Knowledge Partner ContentContent

• Growing Pharmaceutical Industry – Indian Scenario • Our Edge – Scenario – World Class Infrastructure – Access to Skilled Manpower – Government’s Proactiveness • Opportunities • Key Players Indian Scenario Growing Pharmaceutical Industry

Pharmaceutical Market Break-up by Segment (FY13)

• Market Size: The Indian pharmaceutical industry (USD 12 billion) 4% 3% was ranked 3rd in terms of volume and 14th in terms of value globally in 2013-14 9% • Major Drivers: Cost Efficiency, diversified portfolio, including 60,000 generic brands and strong policy support in the 13% form of “Pharma Vision 2020” position as the global leader in end-to-end drug manufacturing 71% • Market Segmentation: Divided into four major segments – Active Pharmaceutical Ingredients (APIs), Contract Research and Manufacturing Services (CRAMS), Formulations and Biosimilars with APIs being the largest segment Hospitals • Growth in Exports: Pharmaceuticals exports Medical Equipment & Supplies have witnessed a growth of CAGR 26.1% to USD 10.1 billion during FY 06-13 Diagnostics Pharmaceutical Medical Insurance

Export/Import Data of Indian Pharmaceutical Industry (in USD Billion)

12 10.1 10 8.5

8 6.7 6 5.1 5.2 4.2 4 3.2 2.4 1.8 1.7 2 0.9 1.1 1.2 0.4 0.6 0.7 0 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13

Source: Department of Commerce, India, Planning Commission Report

Our Edge Madhya Pradesh Scenario

Pharmaceutical

• Untapped opportunity: The pharmaceutical sector in Madhya Pradesh offers huge untapped opportunity due to large population base in the state • Turnover: The Pharmaceutical industry in Madhya Pradesh has an annual turnover of about USD 1.5 billion • Locational advantage: Being at the centre of the country provides equal access to markets around the country for the pharmaceutical industry • Large number of pharmaceutical and healthcare units: More than 350 pharmaceutical units located across Madhya Pradesh, out of which 160 are formulation manufacturers • Major employer: Provides direct and indirect employment to more than 45,000 people • Robust infrastructure support: The presence of pharmaceutical clusters with a large number of pharmaceutical ancillary units in Pithampur, , Dewas, Mandideep, Bhopal and Ujjain provide a strong infrastructure support for the sector

Over 160 formulation manufactures in Madhya Pradesh

Indore: Pharmaceutical hub of the state • Indore is one of the largest producers of pharmaceuticals like basic drug formulations, tableting, capsuling etc. • Indore houses one of India’s biggest pharmaceutical trade house, “Dawa Bazar” • Dawa Bazar host a large number of wholesale and retail outlets of small manufacturers, and several multinational pharma companies have their marketing offices here Our Edge World Class Infrastructure

Pharmaceutical Infrastructure Scenario

Bhind Morena Above 25 units

Gwalior No of units: 11 to 25

Sheopur Datia No of units: 6 to 10

Shivpuri No of units: 1 to 5

Tikamgarh Rewa Chhatarpur Neemuch Guna Ashok Nagar Satna Singrauli Panna Sidhi Mandsaur Rajgarh Vidisha Sagar Damoh Shajapur Katni Bhopal Ratlam Umaria Ujjain Shahdol Raisen Jabalpur

Jhabua Narsinghpur Anuppur Indore Sehore Dindori Dewas Mandla Hoshangabad Harda Seoni Chhindwara Betul Balaghat

Indore, Pithampur SEZ • The first SEZ in India – Indore, Pithampur SEZ became operational in August 2003 • It is spread over an area of more than 1,100 hectares comprising Phase I and II, housing sectors such as pharmaceuticals, plastic, engineering, metal, textile and food processing • The pharmaceutical cluster encompasses the industrial estates within Indore, Existing and the industrial regions Pharmaceutical of Dewas, Ujjain and Proposed Biotechnology Park Cluster Pithampur (Dhar district). • 181 acre Biotechnology Park proposed in Indore to be set up under PPP mode • To include amenities like incubation centre, pilot plants, business enterprises zone, warehouses, healthcare centre etc. • Besides biotechnology, it will host industrial units of pharmaceuticals, agriculture and food processing Our Edge Availability of Skilled Manpower

Key pharmaceutical colleges in Madhya Pradesh • Dr. Hari Singh Gour Central Preparing a large pool of quality workforce University, Sagar has a pharmaceutical centre of B. R. Nahata College of Pharmacy, Mandsaur excellence, and it was the 3rd • Number of colleges No. of No. of of its kind in India and the running pharmacy courses Institutions - 20 Institutions - 111 first in Madhya Pradesh has increased from 20 in Indore Institute of Pharmacy, Indore 10000 FY03 to 111 in FY14 8340 • Madhya Pradesh is home to IISER, and it provides advanced • Intake of students in Department of Pharmacy, Barkatullah University, Bhopal courses in Biological Sciences pharmacy colleges has also witnessed a significant 5000 increase from 1150 to RGPV School of Pharmaceutical Sciences 8340 in the same period 1150 0 SGSITS, Department of Pharmacy, Indore FY03 FY14

Source: Department of Technical Education and Skills Development Intake Capacity Our Edge Government Proactiveness Presence of Robust Support System

Infrastructure Framework • Seven Audyogik Kendra Vikas Nigam(AKVN) established to promote industrialisation by providing industrial infrastructure • 19 Industrial Growth Centres under 7 AKVNs • Pharmaceutical SEZ at Pithampur under AKVN, Indore • 185 Industrial Areas under District Trade & Industrial Centres(DTIC)

Special Incentives for Pharmaceuticals & Herbal Industries in Healthcare Investment Policy 2012 • 50% of the expenditure incurred on technical services for obtaining GMP certification • Speedy disposal and facilitation • Herbal & Ayurvedic Parks and demonstration centres would be developed • Herbal & Ayurvedic industries set up in advanced districts will be provided similar incentives as available in Backward ‘A’ category districts

Investor-friendly Policies • Exemption from Electricity duty • Concession on land • Interest subsidy • VAT & CST reimbursement • Entry Tax exemption • The incentive package shall also be extended to vendor units, similar to mother units • Small Scale & Medium Scale Pharmaceutical Units having FCI of over INR 50 lakh will be given special subsidy

Single Window Facilitator • Online Single Window System for Investor Facilitation & Approval Monitoring System Opportunities

Rising Investment Prospects

Investment Opportunities Across Value Chain

Target Lead Pre-Clinical Storage & Clinical Trials Manufacturing Packaging Identification Identification Trials Distribution

Research Testing Delivery

Investment Opportunities in Indicative Projects • Bulk Drugs and Active Pharmaceutical Ingredients (API) manufacturing units • Integrated R&D Centre • Drug packaging • Bulk drug manufacturing • Development of medical devices • Herbal production • Cosmetic units • Clinical trial centre • Pharmaceutical Special Economic Zone Cipla - Cipla is one of the world’s largest generic pharmaceutical Key Players companies with a presence in over 170 countries - Offers a broad spectrum of pharmaceutical and surgical products

- Over 2000 products, 65 therapeutic categories, over 40 dosage forms

- Has a manufacturing facility in Indore producing aerosols, liquid orals, pre-filled syringes, nasal sprays, eye drops and tablets Ranbaxy Laboratories Ltd. - Ranbaxy Laboratories Ltd. is an Indian multinational pharmaceutical company that was incorporated in India in 1961

- Highest number of brands in the ‘Top-30’ of the Indian pharmaceutical market Lupin Limited - Over 200 molecules in production - Lupin Limited is an innovation led transnational pharmaceutical company producing a wide range of quality, affordable generic and - Investment in Madhya Pradesh (in INR Crore): 9905 branded formulations and APIs

- Products reach over 100 countries and has emerged as the 5th largest company in the US

- In Madhya Pradesh, it has two manufacturing plants – Mandideep for APIs and Indore for formulations

The Piramal Group - The Piramal Group operates across sectors such as healthcare, life sciences, drug discovery, healthcare information management, specialty glass packaging and real estate

- Piramal healthcare offers products for ailments such as acute Teva care, biotech, cardiac, diabetes and orthopaedic - Teva is the largest generic drug manufacturer in the world and - Third largest player in the global Inhalation Anaesthesia (IA) offers a wide range of products such as APIs, generic drugs, market, and the only company in the world with a complete Oncology support etc. product portfolio of inhalation anaesthetics drugs. The company - In Madhya Pradesh, it has a large API manufacturing unit in has a facility in Pithampur, Dhar. Malanpur, District Bhind Illustrative List of Pharmaceutical Players* in Madhya Pradesh

Key Contact

Principal Secretary Department of Public Health & Family Welfare, Govt. of Madhya Pradesh (Off.) 0755-2441074 (Fax) 0755-2571399 Email: [email protected]

Managing Director MP Trade and Investment Facilitation Corporation Limited (Government of Madhya Pradesh Undertaking) (Off.) 0755-4270246, 2559978-79 (Fax) 0755-2559973, 2559971 Email: [email protected], [email protected]

*This is only a representative list of pharma players present in Madhya Pradesh